Cost breakdown to produce a Rolex watch

[alphadweller]

Hi everyone, this topic has been covered on many occasions but I couldn’t find a simple breakdown for the cost to make a Rolex watch. I was wondering if anyone would be able to chime in. To keep it easy, let’s take a simple new watch like an OP for example.

We know that Rolex’ profit margin is roughly 30% of the sales figure and the ADs take approximately 40%. How do we break down the remaining 30% between everything else: R&D, labour, machines, marketing, logistics, overhead etc. I’m aware this is a charitable trust and they don’t make their account statements public, but was wondering if anyone could take an educated guess based on other brands who do publish their statements, perhaps?

Not entirely sure if it’s ok to talk about this. If not I apologise to our moderators in advance.